Question

Kinkaid Co. is incorporated at the beginning of this year and engages in a number of transactions. The following journal entries impacted its stockholders' equity during its first year of operations. a. Credit General Journal Cash Common Stock, $25 Par Value Paid-In Capital in Excess of Par Value, lue, Common Stock Debit 300,000 225,000 75,000 b. SL Organization Expenses Common Stock $25 Par Valve Paid-In Capital in Excess of Par Value, 180,000 al of Par Value, common stock 126,000 on Stock Cash Accounts Receivable Building Notes Payable Common Stock, $25 Par Value Paid In Capital in Excess of Par Value, Common Stock 43,000 15,500 81,600 60,000 50, 100 30,000 d. Cash Common Stock, $25 Par Value Paid In Capital in Excess of Par Value, Common Stock 134,000 79,000 55,000 Required: 2. How many shares of common stock are outstanding at year-end? 3. What is the amount of minimum legal capital (based on par value) at year-end? 4. What is the total paid in capital at year-end? 5. What is the book value per share of the common stock at year-end if total paid in capital plus retained earnings equals $799

Answer 1

2
Number of outsanding shares	19204	=(225000+126000+50100+79000)/25
3
Minimum legal capital	480100	=19204*25
4
Total paid-in Capital	694100	=480100+75000+54000+30000+55000
5
Book value per common share
Choose Numerator	/	Choose Denominator	=	Book value per common share
Stockholders' Equity applicable to Common shares	/	Number of common shares outstanding	=	Book value per common share
799000	/	19204	=	41.61